Bitcoin Targets New High: Momentum Builds Amid Market Optimism

Bitcoin (BTC) continues to gain traction, with recent price movements sparking expectations of an imminent all-time high. On October 27, bullish sentiment strengthened as the Crypto Fear and Greed Index climbed to a neutral reading of 51—a level not seen since trade tariff disputes under the Trump administration. This shift in market sentiment marks a critical milestone in BTC's ongoing rally.

According to Pinbold data, Bitcoin surged 2.6% in the past 24 hours, trading at $114,520—a movement that mirrors the broader 2.5% increase in the digital asset market. This upward trajectory, supported by technical indicators, easing macroeconomic factors, and escalating institutional inflows, underscores the cryptocurrency's growing resilience.

Key Technical Levels: Building Momentum Toward $118,000 Resistance

Bitcoin's ability to reclaim its 50-day Exponential Moving Average (EMA) at $114,176 signals a short-term structural rebound. Market analyst Ted Pillows highlighted $114,000 as a foundational support level while targeting $118,000 as the next crucial resistance zone.

“Breaking through the $118,000 resistance level could open the door to a new all-time high within one to two weeks,” noted Pillows. The analyst emphasized Bitcoin’s ability to hold above its reclaimed support and suggested that sustained momentum could usher BTC into uncharted price territory.

"$BTC has fully reclaimed the $114,000 support zone.
Now, Bitcoin needs to claim the $118,000 zone, and a new ATH could happen in 1-2 weeks."
— Ted (@TedPillows) October 27, 2025

Trading Volume Surge: A Vital Catalyst for Sustained Growth

A substantial spike in trading volume further strengthens Bitcoin’s bullish narrative. Within 24 hours, BTC’s daily trading volume surged 140%, hitting an impressive $59.45 billion—a move that underscores heightened investor activity and confidence. Pillows advised that consistent volume will be critical for sustaining the rally and navigating resistance at the $118,000 level.

However, he cautioned that adverse macroeconomic developments could dampen upward momentum despite Bitcoin's solid technical foundation and favorable market sentiment.

Macroeconomic Tailwinds: Easing Inflation and Federal Reserve Signals

Market optimism surrounding Bitcoin's rally has been amplified by moderating inflation data and dovish signals from the Federal Reserve. Last week's Consumer Price Index (CPI) data revealed a lower-than-expected month-over-month increase of 0.3%, against a forecast of 0.4%. This outcome bolsters expectations for a 25-basis-point rate cut by the Federal Reserve at its October 29 meeting. Current market odds for this policy shift stand at an overwhelming 98%.

Lower inflation and accommodative monetary policies have fueled risk-on sentiment, driving demand for speculative assets like Bitcoin. This trend reflects broader market confidence in BTC’s ability to capitalize on favorable external conditions.

U.S.-China Trade Deal: Strengthening Market Sentiment

Bitcoin's upward momentum also aligns with positive developments surrounding the recently negotiated U.S.-China trade deal. The agreement suspends additional tariffs while relaxing restrictions on rare-earth exports. This breakthrough adds to the tailwinds boosting risk-sensitive assets, extending Bitcoin's appeal to investors as market sentiment improves.

Eyes on the Week Ahead: Critical Events in Focus

As Bitcoin traders prepare for pivotal events—including the Federal Reserve's October 29 meeting and the Washington-Beijing summit scheduled for November 1—the cryptocurrency faces a defining moment. Maintaining critical support above $114,000 while overcoming resistance at $118,000 could be pivotal for Bitcoin’s journey to a new all-time high.

The $118,000 threshold remains a key target identified by analysts, including Ted Pillows. Should Bitcoin break through this barrier, the asset could enter uncharted territory. As macroeconomic conditions and institutional inflows align, BTC's path forward presents immense opportunities for those closely monitoring its performance.